Friday, May 21. The week is coming to an end, so we can talk about the most interesting news in the crypto industry for this week.
Losses due to the fall of the market
Since the beginning of the week, virtual assets have fallen significantly in their positions, this was also reflected in the cryptocurrency exchanges and billionaires.
This was due to the cancellation of the acceptance of bitcoins by Tesla for its products, as well as due to the increase in US inflation to 4.2%, which is the largest figure in the last 12 years.
The second reason is that Chinese banks and payment services have been banned from trading in cryptocurrency. This led to investors, both small and possessing large assets, selling their cryptocurrencies at once, thus triggering price declines.
Forbes estimates that many of the crypto billionaires lost a total of $15.5 billion.
FTX head Sam Bankman-Freed lost an estimated $5 billion. Billionaire’s fortunes went from $16.7 billion to $11.5 billion.
Vitalik Bouterin has lost his billionaire status, according to Forbes, his fortune now stands at $850 million.
The SEC now has the right to obtain information about Ripple from foreign regulators
Sarah Netburn, who is a justice of the peace, has given permission for the SEC to receive information about Ripple as part of a memorandum of understanding with foreign regulators.
According to Ripple’s lawyers, the Securities and Exchange Commission of the United States wants to influence and intimidate the company’s foreign partners to break their contracts with Ripple.
Not long ago, SEC requested that XRP tokens not be involved in Ripple proceedings, as this promised that the trial would start to drag on and more resources would be spent.
Ripple wanted the Commission to operate under the Hague Convention rather than the Memorandum of Understanding, as this was a slower but more efficient method. But Sarah Netburn rejected the request on the grounds that the courts often rejected claims that the convention was an exceptional and high-priority means of international investigation.
End of Anonymity
United States President Joe Biden’s administration has proposed that cryptocurrency transfers in excess of $10,000 be forwarded to the Internal Revenue Service (IRS). This is to strengthen tax legislation.
In their view, cryptocurrency facilitated illegal activities as well as non-payment of taxes.
If such rules are introduced, they will help to minimize revenue concealment. The report also states that this will be extended to «foreign financial institutions, cryptocurrency exchanges and castodians».
As we can understand from all of this, in the near future, namely from 2023 (this year it is expected that new measures will come into force), anonymity among the US crypto community may be compromised, as the big transactions will be known to the tax.
Crypto Community vs Elon Musk
The head of Tesla and SpaceX, Elon Musk, is already pretty tired of his statements on Twitter, thanks to which the cryptocurrency rises in price, then falls.
It has been noted more than once that Musk’s statements have always caused a certain stir among users of digital assets. When Tesla decided to invest in bitcoin, and then sell its electric cars for the first cryptocurrency, prices soared instantly. Now, after Elon decided to cancel such a decision, the crypto market experienced a sharp decline in quotations.
People got tired of this and so, crypto enthusiasts decided to create a token under the bright name FuckElon Tweet or FUCKELON for short. This token appeared after criticism of bitcoin for centralization, followed by a sharp jump in the price to $42,185.
But this token is not the only one, other users who decided to remain anonymous created the StopElon token. The coin rose to $0.00004 in four days. The essence of the creation of the token is that the holders of StopElon bought out the shares of Tesla, in order to begin to influence the company from within.